Post-Earnings Call Players Pile On Applied Materials, Inc. (AMAT)

Call volume is soaring on Applied Materials, Inc. (NASDAQ:AMAT) in the wake of its fiscal second-quarter results

May 15, 2015 at 2:35 PM
facebook X logo linkedin

Put buying had been growing in popularity on Applied Materials, Inc. (NASDAQ:AMAT) in the weeks leading up to last night's quarterly earnings report. At the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), the stock's 10-day put/call volume ratio has jumped to 0.38 from 0.16 over the past two weeks, and now ranks in the 83rd annual percentile.

Today, though, in the wake of its fiscal second-quarter results, AMAT calls are trading at two times the average intraday rate, and are outpacing puts by a more than 4-to-1 ratio. What's more, with the scheduled event in the rearview mirror, the equity's 30-day at-the-money implied volatility plunged to a 52-week low earlier.

Most active is AMAT's May 20.50 call, where 8,560 contracts have changed hands thus far. It appears a portion of the activity is of the buy-to-open kind, as speculators bet on the stock to rally above the strike by tonight's close -- when front-month options expire.

Earlier, the equity topped out at an intraday high of $20.59, but was last seen up 2% at $20.25 after the company reported better-than-expected earnings. What's more, although RBC, J.P. Morgan Securities, and Credit Suisse all cut their price targets on Applied Materials, Inc. (NASDAQ:AMAT) overnight, D.A. Davidson said it was a "very stable" quarter, considering the failed $10 billion takeover bid of one of its rivals.

Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on calls
238.5% GAIN on Oracle calls



Rainmaker Ads CGI